Econ 122B Problem Set 3 Name(Print)______________________ Due in class on March 3 UCI ID____________________________ 1. In class‚ we have talked about the following simple wage equation wage female u ‚ where female is a dummy that is equal to 1 if female‚ and 0 otherwise. Given the OLS estimates ˆ and ˆ for the above model‚ what are the OLS estimates for a model with a
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Text Problem Sets A1. (Bond valuation) A $1‚000 face value bond has a remaining maturity of 10 years and a required return of 9%. The bond’s coupon rate is 7.4%. What is the fair value of this bond? Number of years (N) = 10‚ future value (FV) = 1000‚ interest rate (I/YR) = 9 0.074 * 1000 = 74 = PMT or annual payment‚ I then pressed CPT on my financial calculator to compute the price of the bond and then pressed PV or present value. The fair value of the bond is $897.32. Using Cash Flow of
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PROBLEM SET 4 Name: ______________________________________________ Problem Set 4 is to be completed by 11:59 p.m. (ET) on Friday of Module/Week 8. 1. Movies are distributed in a variety of forms‚ not just first run theatrical presentations. What other ways are movies distributed? What are the different price points? Using this information‚ draw a fully labeled graph of the market for movies in which the distributor of the film price discriminates. (NOTE: This should not be perfect price
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Problem Set 1 Problem 1 Which project should the firm select? Why? Project B: Managers should try to maximize their stock’s intrinsic value while also bringing in revenue. The P/E ratio shows the dollar amount investors will pay for $1 of current earnings. Problem 2 If most investors expect the same cash flows from Companies A and B but are more confident that A’s cash flows will be closer to their expected value‚ which company should have the higher stock price? Explain. The primary
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Dimensional analysis of models and data sets James F. Pricea) Woods Hole Oceanographic Institution‚ Woods Hole‚ Massachusetts 02543 Received 22 May 2002; accepted 4 November 2002 Dimensional analysis is a widely applicable and sometimes very powerful technique that is demonstrated here in a study of the simple‚ viscous pendulum. The first and crucial step of dimensional analysis is to define a suitably idealized representation of a phenomenon by listing the relevant variables‚ called the physical
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Pre Lab Report Behavior of Gases and Absolute Zero Determination Lab 4 Summary of Concepts: Through this experiment we will be investigating the differences between the gas laws. We will investigate the relationships between pressure‚ volume‚ and temperature. By the end of the experiment we will have data to prove the gas laws. The Gas Laws we will be investigating are as follows: Boyle’s Law: PV=C Charles’ Law: V/T=C Gay-Lussac’s Law: P/T=C Avogadro’s Law V/n=C Ideal Gas law:
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Problem Set 4 Complete all questions listed below. Clearly label your answers. 1. What determines whether a financial asset is included in the M1 money supply? Why are interest-earning checkable deposits included in M1‚ whereas interest-earning savings accounts and Treasury bills are not? If the financial asset can be turned into real money fast. Intrest earning checkable deposits are included because they can be converted quickly into paper money. Intrest earning savings accounts and treasury
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PROBLEM SET # 1 Instructions: 1) Open book‚ open notes limited to only class materials. 2) Unlimited time. 3) This must be reflective of your individual effort. GMU Honor Code applies. 4) The Problem Set #1 (only the question solutions portion) is due at the end of the day on September 24th. 5) Show all work‚ as partial credit will be given for each question’s answer. Organize your work so it is easy to follow. You can use word‚ power point‚ excel or combinations
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PROBLEM SET 4 1) Consider the following utility functions‚ where W is wealth: (a) U (W ) = W 2 1 (b) U (W ) = W (c) U (W ) = −W (d) U (W ) = W (e) U (W ) = ln(W ) (f) U (W ) = W 1−γ ‚ with γ = 2 1−γ How likely are each of these functions to represent actual investor preferences? Why? 2) Suppose investors have preference described by the following utility function with A > 0: U = E(r) − 1 Aσ 2 2 Each investor has to choose between three portfolios with the following characteristics:
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Recently‚ I found myself standing in line waiting to get a sandwich at Dutch‚ when I looked through the ever-so-perfectly placed drinks cooler...and what did I see? Coke and Coke Zero‚ the original and the supposed ’clone.’ Now‚ naturally being an extremely inquisitive person‚ I decided it was time to do an experiment. I grabbed one of each and about 10 of those little water cups and went over to the completely unsuspecting group I had come with. Little did they know‚ they were about to be a part
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